Jeonnam-Gwangju welcomes major semiconductor investment with land, funding pledges

The Jeonnam-Gwangju region is responding with enthusiasm to the announcement of major semiconductor investments by Samsung Electronics and SK Hynix. Min Hyung-bae, the president-elect for the unified Jeonnam-Gwangju Special City, promised concrete support measures, including the provision of affordable land, to ensure companies can thrive. He stated that at least 5 trillion won, and potentially the entire 20 trillion won government support fund, would be allocated to back these investments.

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We will prepare specific support measures that companies can actually feel, including the provision of affordable land.

Addressing concerns about water supply, Min confirmed that half of the government's projected daily water requirement of 650,000 tons has been secured, with plans to reach 800,000 tons by 2030 and 1.1 million tons by 2032. Regarding electricity, he noted that Jeonnam's self-sufficiency rate is between 170-180%, indicating sufficient capacity for about four fabrication plants with system adjustments.

With the inauguration of the unified Jeonnam-Gwangju Special City just two days away, the news is seen as a significant gift. Min highlighted the historical context, suggesting that past national development, like the Gyeongbu Expressway and industrial complexes, involved sacrifices from the Honam region. He framed the current investment as a correction of historical distortions.

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We will definitely support it by investing at least 5 trillion won out of the 20 trillion won in integrated support funds promised by the government, if necessary, all of it.

Local universities are rapidly developing talent cultivation plans. Chonnam National University plans to establish an Advanced Industry Convergence College, while Honam University will focus on AI and robotics. The Gwangju Institute of Science and Technology (GIST) is partnering with Arm to develop a chip design talent program.

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This investment is a great transformation that corrects historical distortions.

While the national People Power Party initially expressed criticism, the Jeonnam Provincial Party welcomed the investment, calling it a national project to boost industrial competitiveness and balanced national development. Other regions also reacted differently. The Chungcheong region welcomed an 81 trillion won investment in packaging, and the Gyeonggi Province governor-elect expressed hope for growth alongside Honam. However, Jeonbuk Province, which is part of the broader southwestern region but was not selected as a primary semiconductor investment site, is requesting consideration for balanced investment distribution.

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We sincerely welcome it and hope it becomes a national project that enhances Korea's industrial competitiveness and advances balanced national development, not just the benefit of a specific region.